House Passes Property Tax Cut

Property taxes levied by the state would be cut 10 percent under a bill passed by the House Monday. Foes contend it is a soft deal for big business and a pittance for homeowners.

The measure, HB1957, would mean a tax cut of $38 a year to the owner of a $100,000 home, a cut of $677,059 to U S West, and $528,660 to Puget Power, to name a few businesses that would benefit.

The measure, sent to the Senate by a vote of 82-13, would cost the treasury about $184 million in the coming two-year budget cycle beginning July 1, according to documents accompanying the measure. The Republicandominated House will have sent the Senate nearly $1 billion in proposed business, sales and property tax cuts by the Wednesday cutoff for floor action.

The proposed property tax cut applies only to the portion of total property taxes levied by the state, not to taxes levied by local governments.

“This bill is a good faith effort, and an initial attempt, to give some property tax relief to citizens of this state,” said House Finance Chairman Brian Thomas, R-Renton.

Rep. Ian Elliot, R-Kirkland, said he was glad “the bill is a 10 percent decrease and not a 10 percent increase.”

But Rep. Helen Sommers, D-Seattle, said the measure is a gift for big business disguised as a break for homeowners.

The average homeowner gets enough of a break to “buy a lube job … take a family of four to a restaurant … or buy 76 signatures for a special interest initiative at 15 cents a signature,” said Rep. Greg Fisher, D-Normandy Park, drawing laughter in the chamber.

Documents circulated by Democrats say Seattle’s Columbia Center would get a break next year of $70,000; Weyerhaeuser, $180,000; and AT&T, $104,000.

“This is tax relief for the big guys and not for the homeowner,” Sommers said.